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FEDERAL REGISTER,
2330

FEDER a C R E G IS T E R

1934

Published daily, except Sundays, Mondays, and days following legal holidays by the Division of the Federal Register, The National Archives, pursuant to the authority con tained in the Federal Register Act, approved July 26, 1935 49 Stat. 500, under regula tions prescribed by the Administrative Com mittee, approved by the President.
The Administrative Committee consists of the Archivist or Acting Archivist, an officer o f the Department of Justice designated by the Attorney General, and the Public Printer or Acting Public Printer.
The daily issue of the F ederal R egister will be furnished by m all to subscribers, free o f postage, for $1125 per month or $12AO per year; single copies 10 cents each; payable in advance. Remit money order payable to the Superintendent of Documents directly to the Government Printing Office, Washington, D. C.

Saturday , June 22, 1940

Any such policies delivered to the Cor poration beginning May 15, 1940, may be accepted and accruals suspended in conformance with the provisions hereof.
Effective date May 15, 1940.
Above procedure promulgated by General Manager and General Counsel pursuant to authority vested in them by the Federal Home Loan Bank Board acting pursuant to secs. 4 a , 4 k of Home Owners Loan Act of 1933, 48 Stat.
129, 132, as amended by section 13 of the Act of April 27, 1934, 48 Stat. 647:
12 U.S.C. 1463 a , k .
Promulgated by General Manager and General Counsel of Home Owners Loan Corporation.
seal J. F r a n c is M oo re , Secretary.
F . R. Doc. 40-2537; Filed, June 20, 1940;
3:32 p. m.

Rules, Regulations , Orders
TITL E 42PUBLIC HEALTH

TITLE 24HOUSING CREDIT

CHAPTER I UNITED STATES PUB
L IC H EALTH SERVICE

CHAPTER IV HOME OWNERS
LOAN CORPORATION
Special Administrative Order No. 265
P ar t
409 I n s u r a n c e S e c t io n
RENEWAL INSURANCE AND ACCRUALS ON TAX
AND INSURANCE ACCOUNTS

R e g u l a t io n s o f t h e S u r g e o n G e n e r a l G o v e r n in g P a y m e n t s t o S t a t e s F r o m F u n d s A p p r o p r ia t e d U n d e r t h e P r o
v i s i o n s o f T it l e V I o f t h e S o c ia l S e c u r it y A c t f o r t h e F is c a l Y ear
1941

Pursuant to the authority contained The following Special Administrative in section 602 c of the Act approved Order affects the second paragraph of August 14, 1935, 49 Stat. 634 U.S.C., 409.02-3.
Sup. IV, title 42, sec. 802 c , the follow Notwithstanding the provisions to the ing regulations are hereby prescribed:
contrary of any regulations of the Cor poration or of any extension or other agreements between home owners and the Corporation, in any case where a Tax and Insurance Account has been established, the home owner, including a vendee, may replace insurance policies as they expire with insurance fully paid for a term of at least three years if said policies comply with the requirements of the Corporations regulations. The home owner shall submit receipted bills or other satisfactory evidence of the payment of the full premium on such policies. No funds shall be paid out of the Tax and Insurance Account to agents for insurance ordered by the home owner.
Accruals on the Tax and Insurance Account shall continue until the expira tion of existing insurance, but if the home owner at or prior to expiration date delivers to the Corporation renewal policies satisfactory to the Corporation in form and amount, with premium paid for three years, accruals shall then be suspended during the coverage of such policies and the home owner so notified.
The Loan Service Division in the Re gional Office shall be advised in cases where the home owner has delivered to the Corporation such renewal policies at or prior to expiration date.

9.301 M a t c h i n g requirements.
Allotments to the several States shall be available for payment when matched by State or local public funds appro priated and expended fo r public health work, as follows:
The amounts allotted to States on the basis of population and special health problems determined by 1 the mor tality from pneumonia, cancer, and other infectious diseases except influ enza and syphilis, and 2 the preva lence of geographically limited diseases, special industrial hazards and other conditions that result in an inequality of exposure to these hazards among the States, shall be matched:

local health service where the State is already making a substantial appro priation for this purpose, and may waive matching requirements in those States wherein the per capita1 appro priation for State health department services exclusive of funds for the maintenance of institutions exceeds the average per capita appropriations of all of the States for the same purposes.
9.302 Method of payment to Statej and custody o f funds. Payments shall be made quarterly to the Treasurer oi the State or other State official author ized by law to receive such funds. Pay ments will be certified only after such State has complied with the provisions of the Act and the Regulations author ized thereunder.
All such payments shall be held by the State official to whom made in a separate fund distinct from other State funds and shall be disbursed and audited in accordance with the fiscal procedure of the State. Expenditures shall be made solely for the purposes specified in budgets approved by the State health officer and the Surgeon General.
9.303 State and local appropriations not to be replaced. No funds paid to a State pursuant to Title V I of the Social Security Act shall be used to replace State or local funds in such a way as to effect a conservation or reduction of appropriations for health work by State and local governmental agencies.
9.304 Submission o f plans. To be eligible to receive payments from allot ments each State shall submit to the Surgeon General:
a A comprehensive statement of the State health organization, programs, appropriations and budgets. This state ment should include all activities main tained through local, State or federal funds under, the supervision of or in cooperation with the State health de partment.
b A proposed plan for extending and improving the administrative func tions of the State department of health, including the State plan for a merit system of personnel administration as is now in effect or may hereafter be adopted applicable to any State or local health personnel. I f found accept able, such merit system shall apply to State or local personnel rendering serv ices in accordance with budgets sub mitted to the Public Health Service as required in 9.305 of these regulations, provided that, at the option of the State agency the following may be exempted from compliance with the merit system plan: Members of State and local boards or commissions; the executive head of the State agency administering the State
a Fifty per cent by an equal amount of existing appropriations of public funds for public health work.
b Fifty per cent by an equal amount of new appropriations of public funds for public health work made since January 1, 1935, or made prior to that date fo r the specific purpose of match ing funds available under the provi sions of the Social Security Act: P ro vided, The Surgeon General in his dis 1 To be calculated on the Census Bureau cretion may permit not to exceed 50 per cent of the money available for match 1937 mid-year estimate of population.
9.301 to 9.310, inclusive, issued imder ing with new public funds to be matched the authority contained in sec. 602 c, 4
with existing State appropriations for Stat. 634; 42 U.S.C. 802 c .